<PAGE>
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported): October 21, 1996
I.C.H. Corporation
(Exact name of registrant as specified in its charter)
Delaware 1-7697 43-6069928
(State or other jurisdiction (Commission (IRS Employer
of incorporation) File Number) Identification No.)
500 North Akard Street
Dallas, Texas 75201 75201
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (214) 954-7111
Not Applicable
(Former name or former address, if changed since last report)
<PAGE>
Item 5. Other Events.
ICH Corporation, a Delaware corporation (the "Corporation") filed a voluntary
petition with the United States Bankruptcy Court for the Northern District of
Texas, Dallas Division (the "Bankruptcy Court") under Chapter 11 of the United
States Bankruptcy Code (the "Code"), Case No. 395-36351-RCM-11, on October 10,
1995. The Corporation is required to file Monthly Operating Reports with the
Bankruptcy Court and the United States Trustee pursuant to Bankruptcy Rule 2015
and the United States Trustee's Operating Guidelines and Reporting Requirements
for Chapter 11 Cases. In connection therewith, attached hereto as exhibit 99 is
the Monthly Operating Report for the Month Ending September 1996, filed with the
Bankruptcy Court on October 21, 1996.
Item 7. Financial Statements and Exhibits.
(c) Exhibits
99 Financial Report for September 1996.
1
<PAGE>
SIGNATURE
Pursuant to the requirements of the Securities and Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf by the
undersigned thereunto duly authorized.
I.C.H. CORPORATION
Date: October 22, 19 By: /s/ Susan A. Brown
---------------------------------------
Susan A. Brown, Chairman of the Board,
Director, Co-Chief Executive Officer,
Chief Financial Officer and Treasurer
2
<PAGE>
Index to Exhibits
<TABLE>
<CAPTION>
Sequentially
Numbered
Exhibit Number Description Pages
<S> <C> <C>
99 Monthly Operating Report for the Month Ending 41
September 1996, filed with the United States
Bankruptcy Court for the Northern District of Texas,
Dallas Division, Case No. 395-36351-RCM-11.
</TABLE>
3
<PAGE>
CASE NAME: I.C.H. CORPORATION ACCRUAL BASIS
CASE NUMBER: 395-36351-5CM-11 02/13/95
JUDGE: HON. ROBERT MCGUIRE
UNITED STATES BANKRUPTCY COURT
NORTHERN DISTRICT OF TEXAS
DALLAS DIVISION
MONTHLY OPERATING REPORT
MONTH ENDING: SEPTEMBER, 1996
IN ACCORDANCE WITH TITLE 28, SECTION 1746, OF THE UNITED STATES CODE, I DECLARE
UNDER PENALTY OF PERJURY THAT I HAVE EXAMINED THE FOLLOWING MONTHLY OPERATING
REPORT (ACCRUAL BASIS-1 THROUGH ACCRUAL BASIS-6) AND THE ACCOMPANYING
ATTACHMENTS AND, TO THE BEST OF MY KNOWLEDGE, THESE DOCUMENTS ARE TRUE, CORRECT
AND COMPLETE. DECLARATION OF THE PREPARER (OTHER THAN RESPONSIBLE PARTY): IS
BASED ON ALL INFORMATION OF WHICH PREPARER HAS ANY KNOWLEDGE.
RESPONSIBLE PARTY:
DIRECTOR, CHAIRMAN OF THE BOARD,
CO-CHIEF EXECUTIVE OFFICER,
/s/SUSAN A. BROWN CHIEF FINANCIAL OFFICER AND TREASURER
- --------------------------------------- ------------------------------------
ORIGINAL SIGNATURE OF RESPONSIBLE PARTY TITLE
SUSAN A. BROWN 10/21/96
- --------------------------------------- ------------------------------------
PRINTED NAME OF RESPONSIBLE PARTY DATE
PREPARER:
VICE PRESIDENT - FINANCIAL REPORTING
/s/DAVID A. COMMONS SOUTHWESTERN FINANCIAL SERVICES CORP.
- --------------------------------------- ------------------------------------
ORIGINAL SIGNATURE OF PREPARER TITLE
DAVID A. COMMONS 10/21/96
- --------------------------------------- ------------------------------------
PRINTED NAME OF PREPARER DATE
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996 ACCRUAL BASIS-1
<TABLE>
<CAPTION>
COMPARATIVE BALANCE SHEET
Schedule September 30 August 31
Reference Balances Balances
<C> <C> <C> <C>
ASSETS
1. Unrestricted cash 1.A $143,974 $195,189
Short-term investments 1.B 88,175,958 88,207,481
2. Restricted cash & short-term investments 1.C 104,254,691 103,934,601
------------ ------------
3. Total cash 192,574,623 192,337,271
4. Accounts receivable 4.A 609,030 79,724
Federal income tax refund 4.B 786,100 786,100
Income tax recoverable from purchaser 4.C 7,848,517 7,848,517
6. Notes receivable 6.A 27,581,800 27,581,800
10.Investment real estate 10.A 4,400,000 4,400,000
13.Due from insiders 0 0
15.Investment in subsidiaries 15.A 109,841,602 109,775,244
Investment common stocks & bonds 15.B 40,466,769 40,477,713
Distribution & liquidation interest
in CFSB Corp. 15.C 18,000,000 18,000,000
Tax indemnification 15.D 24,600,000 24,600,000
Other assets 15.E 2,157,036 1,923,291
------------ ------------
Total assets $428,865,477 $427,809,660
============ ============
POSTPETITION LIABILITIES
17.Accounts payable and accrued expenses 27.C 815,886 761,679
Accrued interest 27.B 26,850 24,587
18.Taxes payable 25.A 166 41
------------ ------------
Total postpetition liabilities 842,902 786,307
------------ ------------
PREPETITION LIABILITIES
24.Secured notes payable 24.A 30,323,863 30,323,863
25.Accrued taxes 25.A 18,924,899 18,924,899
26.Unsecured notes payable 26.A 372,162,000 372,162,000
27.Accrued interest 27.B 15,673,899 15,673,899
Other liabilities 27.C 18,105,758 18,108,349
------------ ------------
Total prepetition liabilities 455,190,419 455,193,010
------------ ------------
EQUITY
30.Prepetition owners' equity (deficit) (108,884,661) (108,884,661)
31.Postpetition cumulative profit 74,590,075 73,577,319
32.Change in unrealized gains 7,126,742 7,137,685
------------ ------------
Total equity (27,167,844) (28,169,657)
------------ ------------
TOTAL PREPETITION LIABILITIES, POSTPETITION
LIABILITIES AND EQUITY $428,865,477 $427,809,660
============ ============
</TABLE>
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
CASH IN BANKS- UNRESTRICTED
September 30 August 31
Account Name Account No.
<S> <C> <C> <C>
Bank of Louisville 2449-393-8 $4,139.82 $4,139.82
Operating Account
Bank of Louisville 2449-390-3 64,951.96 64,951.96
General Account
Bank One 90484306 6,466.63 3,036.20
Custody Account
Bank One 100171305 51,411.24 94,025.12
Operating Account
First Farmers 70-007-419 7,866.79 1,034.42
Dining Room Account
First Farmers 70-007-427 8,437.00 27,301.00
Pro Shop Account
Petty Cash @ Perry Park 700.00 700.00
----------- -----------
Total unrestricted cash in banks $143,973.44 $195,188.52
=========== ===========
</TABLE>
SCHEDULE 1A
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
SHORT TERM INVESTMENTS
September 30 August 31
<S> <C> <C>
United States Treasury Bills
5.04% Due 11/14/96 $26,833,236.41 $0.00
United States Treasury Bills
5.18% Due 12/12/96 19,792,051.97 0.00
United States Treasury Bills
4.88% Due 09/05/96 0.00 19,989,131.98
United States Treasury Bills
5.07% Due 10/31/96 17,923,291.01 17,847,233.04
United States Treasury Bills
5.09% Due 11/29/96 19,832,379.02 19,748,220.98
Bank One Texas
Time Deposit 5.625% Due 10/01/96 3,795,000.00 0.00
Bank One Texas
Time Deposit 5.2500% Due 09/03/96 0.00 670,000.00
Unites States Treasury Bills
5.09% due 9/12/96 0.00 24,960,712.44
United States Treasury Bills
5.06% Due 9/12/96 0.00 4,992,182.64
-------------- --------------
Total short-term investments $88,175,958.41 $88,207,481.08
============== ==============
</TABLE>
SCHEDULE 1.B
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
RESTRICTED CASH AND SHORT TERM INVESTMENTS
Account Name Account No. September 30 August 31
<S> <C> <C> <C>
Latter & Blum Property 0005-65040 $3,848.99 $344.99
Management, Inc.
As Agent of Republic Tower
Rental Trust Account
ICH & CFC (1) 40 75k012013 0.00 365.90
Tax Ind Escrow 40 75k012005
Purchase Price Escrow
Texas Commerce Bank (2) 088-05177043 1,581.77 1,581.77
Upfront Buyer Expenses
Texas Commerce Bank (2) 088-05177035 2,184.56 2,184.56
Expense Collateral Account
Texas Commerce Bank (2) 088-05176995 5,777.78 5,777.78
Termination Collateral Account
ICH & Southwest Financial Corp. (3) 3855124256 0.00 2,130.99
Escrow Account
Bank of Louisville (4)
Repurchase Agreement 4.80% Due 09/4/96 0.00 81,342.69
Bank of Louisville (4)
Repurchase Agreement 4.80% Due 10/4/96 81,668.06 0.00
United States Treasury Bills (1)
5.095% due 9/19/96 0.00 109,716.85
Fidelity Institutional Cash
Due 12/31/96 at Maturity 1,083.78 144,334.72
United States Treasury Bills (3)
4.846% Due 9/19/96 0.00 3,829,676.76
United States Treasury Bills (3)
4.847% Due 9/19/96 0.00 99,757,144.20
United States Treasury Bills (3)
5.005% Due 12/19/96 54,075,468.21 0.00
United States Treasury Bills (3)
4.992% Due 12/12/96 50,083,077.57 0.00
--------------- ---------------
Total restricted cash and
short term investment $104,254,690.72 $103,934,601.21
=============== ===============
</TABLE>
(1) Escrows established related to sale of Integrity National Life Insurance
Company to Citizens Financial Corporation. $250,000 purchase price escrow
released in July. Remaining tax escrow balance released to Citizens
Financial Corp.
(2) Escrows established related to proposed sale to Shinnecock Holdings Inc.
(3) Escrows established related to sale to Southwestern Financial Corp.
(4) Escrow established related to tax obligations of Consolidated Fidelity.
SCHEDULE 1.C
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
ACCOUNTS RECEIVABLE
September 30 August 31
Perry Park:
<S> <C> <C>
Maintenance Fees Receivable $144,238.31 $142,263.82
Allowance for doubtful accounts (130,000.00) (130,000.00)
----------- -----------
14,238.31 12,263.82
Other - Due from BML 509,601.00 0.00
Other - Due from SWFS 85,190.78 53,055.81
HM/Jackson Products, L.P. 0.00 14,405.02
----------- -----------
Total $609,030.09 $79,724.65
=========== ===========
</TABLE>
SCHEDULE 4.A
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
FEDERAL INCOME TAX REFUND DUE
September 30 August 31
<S> <C> <C>
1993 Form 1120X Refund $786,100.00 $786,100.00
=========== ===========
</TABLE>
SCHEDULE 4.B
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
FEDERAL INCOME TAX RECOVERABLE FROM PURCHASER ON SALE OF SUBSIDIARIES
September 30 August 31
<S> <C> <C>
Due from Southwestern Financial Corporation for income tax settlement from sale
of Southwestern Life, Union Bankers,
Constitution and Marquette $7,848,517.00 $7,848,517.00
============= =============
</TABLE>
SCHEDULE 4.C
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
NOTES RECEIVABLE
September 30 August 31
<S> <C> <C>
Victor Sayyah
Citibank Prime + 0.5% Due 10/15/2001 $27,000,000.00 $27,000,000.00
Ballard Texas Properties (1)
8.0% Due 10/31/02 581,800.00 581,800.00
-------------- --------------
Total notes receivable $27,581,800.00 $27,581,800.00
============== ==============
</TABLE>
NOTES
(1) Promissory note secured by Las Villas Apts. Houston, Texas
SCHEDULE 6.A
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
INVESTMENT REAL ESTATE
September 30 August 31
DESCRIPTION
<S> <C> <C>
Perry Park $4,634,116.10 $4,634,116.10
Allowance for loss on Perry Park (3,049,462.30) (3,049,462.30)
Republic Tower - Office Bldg 2,000,000.00 2,000,000.00
Baton Rouge, Louisiana - Land 1,125,000.00 1,125,000.00
Allowance for loss on land (640,000.00) (640,000.00)
Ponderosa Inn, Burley ID - Golf Course 844,599.55 844,599.55
Deltona Lakes, Florida - Land 1,213.00 1,213.00
Additional Allowance for Loss (Unallocated) (515,466.35) (515,466.35)
------------- -------------
Total investment real estate $4,400,000.00 $4,400,000.00
============= =============
</TABLE>
SCHEDULE 10.A
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
INVESTMENT IN SUBSIDIARIES
September 30 August 31
<S> <C> <C>
SWL Holding Corporation $0.00 $0.00
Care Financial Corporation 99,371,101.00 99,371,101.00
SLC Financial Services 257,294.30 252,536.00
Facilities Management Installation 9,572,421.00 9,514,386.00
BML Agency 640,786.05 637,220.73
--------------- ---------------
Investment in Affiliates $109,841,602.35 $109,775,243.73
=============== ===============
</TABLE>
NOTES:
(a) Bankers Multiple Line Insurance Company ("BML"), a wholly-owned subsidiary
of Care Financial Corporation, sold Modern American Life Insurance Company
and Western Pioneer Life Insurance Company as of June 28, 1996. Net
proceeds to BML of the sale of Modern American and Western Pioneer were
approximately $27 million, including certain real estate and mineral
interests valued at $11 million distributed to BML by Modern American and
Western Pioneer in connection with the sale. BML also received an
assignment of any federal income tax refunds payable to Modern American for
periods prior to January 1, 1996.
In addition, BML sold Philadelphia American Life Insurance Company. BML
utilized approximately $6 million of the proceeds from the sale to purchase
certain securities, real estate, limited partnership interests and
reinsurance receivables from Philadelphia American at the closing, as
required under the purchase agreement. ICH estimates the net proceeds from
the sale of Philadelphia American, the liquidation of the securities, real
estate, limited partnership interests, and the settlement of reinsurance
receivables assigned to BML by Philadelphia American will total
approximately $11 million.
SCHEDULE 15.A
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
INVESTMENT IN COMMON STOCKS AND BOND
NUMBER
OF SHARES September 30 August 31
<S> <C> <C> <C>
Common Stocks (at market value):
Commonwealth Industries 200 $200.00 $200.00
Churchill Downs 10,000 385,000.00 395,000.00
XRC Corp. 5,595 559.50 559.50
National Energy Group, Inc. 730 2,920.00 2,965.26
Ky Central Life Insurance C 463 46.30 46.30
Ky Investors 300 3,993.90 3,993.90
Worthington Industries 3,667 73,340.00 74,256.75
IMO Industries 2 11.00 10.00
Transamerica Title 10 698.75 681.25
-------------- --------------
Total common stocks $466,769.45 $477,712.96
============== ==============
Change between periods represents
change in unrealized ($10,943.51)
==============
Bonds - Unaffiliated:
Southwestern Financial Corp.
7.0% Due 12/15/2005 40,000,000.00 40,000,000.00
-------------- --------------
Total Common Stocks & Bonds $40,466,769.45 $40,477,712.96
============== ==============
</TABLE>
SCHEDULE 15.B
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
DISTRIBUTION AND LIQUIDATION INTEREST IN CFSB CORPORATION
September 30 August 31
<S> <C> <C>
Distribution and liquidation interest in
CFSB Corporation (Estimated) $18,000,000.00 $18,000,000.00
============== ==============
</TABLE>
NOTE:
Letter Agreement dated March 29, 1993, from Consolidated National Corporation,
(CNC) to ICH conveying to ICH, and agreeing that ICH has a 27.7% share in, and
is entitled to receive 27.7% of, all economic benefits that CNC actually
receives pursuant to that certain Agreement dated January 25, 1993 between CNC,
James M. Fail and CFSB Corporation.
SCHEDULE 15.C
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
TAX INDEMNIFICATION
September 30 August 31
<S> <C> <C>
Tenneco Indemnification $24,600,000.00 $24,600,000.00
============== ==============
</TABLE>
NOTE:
ICH has announced a settlement with Tenneco, Inc. (Tenneco Settlement). Pursuant
to the Tenneco Settlement, upon the earlier of the granting by the Bankruptcy
Court of the Tenneco Settlement Motion by Final Order or the Effective Date of
the Joint Plan, ICH and Tenneco shall mutually release all claims against each
other and Tenneco shall pay to ICH the sum of $18.5 million and cancel the 9
1/2% unsecured note due 1996 of ICH.
SCHEDULE 15.D
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
OTHER ASSETS
September 30 August 31
<S> <C> <C>
Accrued Interest on Short Term Investments $900.16 $488.25
Accrued Interest on Bonds-Unaffiliated 824,444.44 591,111.11
Accrued Interest on Notes Receivable 1,331,691.83 1,331,691.83
------------- -------------
Total other assets $2,157,036.43 $1,923,291.19
============= =============
</TABLE>
SCHEDULE 15.E
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
SECURED NOTES PAYABLE
September 30 August 31
<S> <C> <C>
Victor Sayyah $30,000,000.00 (1) $30,000,000.00
c/o Lord, Bissell & Brook
James R. Wimmer
115 South La Salle Street
Chicago, IL 60603
Ozark National Life Insurance Co. 323,863.22 (2) 323,863.22
500 East 9th
Kansas City MO 64106
-------------- --------------
$30,323,863.22 $30,323,863.22
============== ==============
</TABLE>
NOTES:
(1) Secured by note receivable of $27,000,000.
Unsecured in amount of $3,000,000.
See Schedule 6.A
(2) Dated 6-2-78 Mortgage
Unplatted property situated in Glenwood Hall & Country Club, also known as
Perry Park Resort, Owenton County Recorded in Book 75 page 576, dated
9-28-71
SCHEDULE 24.A
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
ACCRUED TAXES
September 30 August 31
<S> <C> <C>
Prepetition:
Commonwealth of Kentucky 1989-1992 State $2,310,000.00 $2,310,000.00
Revenue Cabinet Income Tax Audit
Frankfort, KY 40619
Intercompany payable per tax
sharing agreement & other 5,514,899.00 (a) 5,514,899.00
Reserve for Federal Income Tax Audit 11,100,000.00 (b) 11,100,000.00
-------------- --------------
Total prepetition accrued taxes $18,924,899.00 $18,924,899.00
============== ==============
Postpetition:
Commonwealth of Kentucky 09/01/96 thru $165.88 $40.87
Revenue Cabinet 09/30/96 Sales
Frankfort, KY 40619 & Use Tax
-------------- --------------
Total postpetition accrued taxes $165.88 $40.87
============== ==============
</TABLE>
Notes:
(a) ICH made a $1.5 million estimated tax payment for 1996. Of this amount,
$1.1 million had been accrued previously.
(b) On September 13, the Bankruptcy Court approved a tax settlement which when
completed will eliminate ICH's tax liability for years ended on or before
December 31, 1995 and result in a payment of $3.95 million to ICH.
SCHEDULE 25.A
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
UNSECURED NOTES PAYABLE
September 30 August 31
<S> <C> <C>
Tenneco Inc. $21,900,000.00 * $21,900,000.00
9.50% Note Due 12/31/96
Note due 1997, interest at prime
Castle settlement 3,000,000.00 3,000,000.00
Bank of Louisville
11 1/4% Subordinated Notes Due 1996 256,101,000.00 256,101,000.00
Bank of Louisville
11 1/4% Subordinated Notes Due 2003 91,161,000.00 91,161,000.00
--------------- ---------------
Total unsecured notes payable $372,162,000.00 $372,162,000.00
=============== ===============
</TABLE>
NOTE:
* ICH has announced a settlement with Tenneco, Inc. (Tenneco Settlement).
Pursuant to the Tenneco Settlement, upon the earlier of the granting by the
Bankruptcy Court of the Tenneco Settlement Motion by Final Order or the
Effective Date of the Joint Plan, ICH and Tenneco shall mutually release all
claims against each other and Tenneco shall pay to ICH the sum of $18.5
million and cancel the 9 1/2% unsecured note due 1996 of ICH.
SCHEDULE 26.A
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
ACCRUED INTEREST
September 30 August 31
<S> <C> <C>
Prepetition:
Accrued Interest on Secured Debt 1,584,770.86 1,584,770.86
Accrued Interest on Unsecured Debt 14,089,128.15 14,089,128.15
-------------- --------------
Total prepetition accrued interest $15,673,899.01 $15,673,899.01
============== ==============
NOTE:
Interest is accrued only through October 10, 1995, the date company filed for
bankruptcy.
Postpetition:
Accrued Interest on Secured Debt (Ozark) 26,849.60 24,586.99
-------------- --------------
Total postpetition accrued interest $26,849.60 $24,586.99
============== ==============
</TABLE>
SCHEDULE 27.B
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
OTHER LIABILITIES
September 30 August 31
<S> <C> <C>
PREPETITION:
Fractional Shares Payable @
Bank of Louisville $179,765.09 $181,198.61
P.O. Box 1101
Louisville, KY 40201-1101
Common Stock Dividend Payable @
Bank of Louisville 200,398.57 201,453.80
P.O. Box 1101
Louisville, KY 40201-1101
Preferred Dividend Payable @
Bank of Louisville 81,064.70 81,166.40
P.O. Box 1101
Louisville, KY 40201-1101
Facilities Management Installation
Inter-company account payable 6,304,530.11 6,304,530.11
Retired Employee Liability 5,565,000.00 5,565,000.00
Robert T. Shaw & C. Fred Rice (a)
Independent Contractor and Services Agreement
Dated February 11, 1994 5,775,000.00 5,775,000.00
-------------- --------------
Total of prepetition liabilities $18,105,758.47 $18,108,348.92
============== ==============
POSTPETITION:
Due Facilities Management $0.00 $246.22
Real Estate Expense Accrual 3,556.70 1,303.04
General Expense Accrual 812,328.62 760,128.58
-------------- --------------
Total of postpetition liabilities $815,885.32 $761,677.84
============== ==============
</TABLE>
Note:
(a) Independent Services Contracts between the debtor and Bob Shaw and the
debtor and Fred Rice were terminated as of the petition date. The amount
shown represents the total remaining amount due under the contracts. The
allowable amount of the claim has not been determined by the Bankruptcy
Court.
SCHEDULE 27.C
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996 ACCRUAL BASIS-2
<TABLE>
<CAPTION>
INCOME STATEMENT
Schedule Month only Period to date
Reference Balance From 12/31/95
<S> <C> <C> <C>
REVENUES:
Interest income $1,052,264 $8,854,674
Perry Park revenues 93,821 495,267
Realized capital gains(losses) 1.A 16 (654,486)
Other income 1.B 1,866 21,222
------------ ------------
Total revenues 1,147,967 8,716,677
------------ ------------
EXPENSES:
9. Directors fees 9 4,750 41,500
11.General and administrative 269,466 1,980,156
------------ ------------
274,216 2,021,656
------------ ------------
15.Income before non-operating
income and expenses 873,751 6,695,021
------------ ------------
OTHER INCOME AND EXPENSES:
16.Equity in earnings (losses) of subsidiaries 16.A 66,359 (1,021,458)
18.Gain (loss) on sale of subsidiary 16.B (109,958) (37,333)
19.Miscellaneous income (expense):
Write-off prepetition liability related
to BOL terminated escrow agreement 0 442,802
20.Interest expense 18 (2,263) (26,130)
------------ ------------
Net other income (expenses) (45,862) (642,119)
------------ ------------
REORGANIZATION EXPENSES:
23.Professional fees 23 325,667 3,231,923
24.U.S. Trustee fees 24 0 24,750
------------ ------------
325,667 3,256,673
------------ ------------
27.Tax expense (benefit) 27 (510,534) (3,930,716)
------------ ------------
Net income (loss) 1,012,756 6,726,945
Change in unrealized (10,943) 7,143,217
Net equity (deficit) at beginning of period (28,169,657) (41,038,006)
------------ ------------
Net equity (deficit) at end of period ($27,167,844) ($27,167,844)
============ ============
</TABLE>
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
REALIZED CAPITAL GAINS(LOSSES):
Month only Period to date
Balance From 12/31/95
<S> <C> <C>
Write-down of real estate and equipment $0.00 ($653,731.00)
Sale of short term investments 15.81 (755.11)
------ ------------
$15.81 ($654,486.11)
====== ============
</TABLE>
SCHEDULE 1.A
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
OTHER INCOME
Month only Period to date
Balance From 12/31/95
<S> <C> <C>
Commission income $1,865.62 $15,727.06
Miscellaneous income 0.00 5,494.62
--------- ----------
$1,865.62 $21,221.68
========= ==========
</TABLE>
SCHEDULE 1.B
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
DIRECTORS FEES
Month only Period to date
Balance From 12/31/95
<S> <C> <C>
Stanley Stegner $2,500.00 $19,750.00
Keith Tucker 0.00 2,250.00
Vernon Zimmerman 2,250.00 19,500.00
--------- ----------
$4,750.00 $41,500.00
========= ==========
</TABLE>
SCHEDULE 9
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
EQUITY IN EARNINGS (LOSSES) OF SUBSIDIARIES
Month only Period to date
Balance From 12/31/95
<S> <C> <C>
Care Financial Corp $0.00 ($696,604.00)
SLC Financial Services 4,758.30 30,294.30
Facilities Management Installation, Inc. 58,035.00 (435,188.00)
BML Agency 3,565.32 80,039.64
---------- --------------
$66,358.62 ($1,021,458.06)
========== ==============
</TABLE>
NOTE:
Equity in earnings is calculated on a monthly basis only for FMI.
SCHEDULE 16.A
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
GAINS (LOSSES) ON SALES OF SUBSIDIARIES
Month only Period to date
Balance From 12/31/95
<S> <C> <C>
Adjusted Capital & Surplus settlement
related to sale of Integrity National Life ($109,957.53) ($37,332.53)
------------ -----------
($109,957.53) ($37,332.53)
============ ===========
</TABLE>
SCHEDULE 16.B
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
INTEREST EXPENSE
Month only Period to date
Balance From 12/31/95
<S> <C> <C>
Ozark National Life $2,262.61 $26,130.42
--------- ----------
$2,262.61 $26,130.42
========= ==========
</TABLE>
SCHEDULE 18
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
PROFESSIONAL FEES
Month only Period to date
Balance From 12/31/95
<S> <C> <C>
Paid & Accrued Postpetition:
Paid during period:
Coopers & Lybrand $121,596.05 $271,335.19
Winstead, Sechrest & Minick 122,266.42 857,094.72
Donaldson, Lufkin & Jenrette 0.00 228,886.04
Rodney D. Moore 0.00 102,764.85
Houlihan Lokey Howard & Zukin 0.00 618,789.72
Gibson, Dunn & Crutcher 0.00 549,842.80
Pryor, Cashman 0.00 335,482.17
Southwest Securities 29,604.44 147,028.75
Lightfoot 0.00 21,162.52
----------- -------------
Total paid for period 273,466.91 3,132,386.76
Change in accrual 52,200.04 99,536.16
----------- -------------
Total reorganization professional fees $325,666.95 $3,231,922.92
=========== =============
</TABLE>
SCHEDULE 23
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
U.S. TRUSTEE FEES
Month only Period to date
Balance From 12/31/95
<S> <C> <C>
ICH Corporation $0.00 $13,750.00
CARE Financial Corp 0.00 5,500.00
SWL Holding Corp 0.00 5,500.00
----- ----------
Total $0.00 $24,750.00
===== ==========
</TABLE>
SCHEDULE 24
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
TAXES
Month only Period to date
Balance From 12/31/95
<S> <C> <C>
Franchise taxes ($11,865.80) $119,241.46
State (KY) income tax 5,386.50 (95,367.13)
Sales taxes 2,356.09 10,183.20
Other taxes 3,190.46 40,064.95
Current F.I.T. Provision (Benefit) (509,601.00) (4,004,838.00)
------------ --------------
Total ($510,533.75) ($3,930,715.52)
============ ==============
</TABLE>
SCHEDULE 27
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11 ACCRUAL BASIS-3
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
CASH RECEIPTS AND DISBURSEMENTS
<S> <C> <C>
Cash at beginning of month $192,337,271
Receipts from operations:
Interest received 818,518
Perry Park revenues 93,822
Other 2,815
-------
915,155
Non-operating receipts:
0
-------
Total cash received 915,155 915,155
------- ------------
Total cash available 193,252,426
Cash disbursed for operations:
General expenses 289,628
Taxes 0
Directors fees (see schedule at
Accrual Basis-6) 4,750
-------
294,378
Non-operating disbursements:
Funds held in tax escrow related to
sale of Integrity National Life
paid to Citizens Security Life 109,958
Cash disbursed for reorganization costs:
Professional fees
See schedule at Accrual Basis-6. 273,467
U.S. Trustee Fees 0
-------
Total cash disbursed 677,803 677,803
------- ------------
Cash at end of month $192,574,623
============
</TABLE>
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
ACCRUAL BASIS-4
ACCOUNTS RECEIVABLE
Due to nature of its business as an insurance holding company, ICH's receivables
are not significant (See asset schedule 4.A) and no attempts are made to age
them.
POSTPETITION TAXES
All taxes were paid current with the filing and postpetition filings and
payments continue to be made in the normal course of business.
<PAGE>
I.C.H. Corporation
Case No. 395-36351-RCM-11
Monthly Operating Report
September 30, 1996
<TABLE>
<CAPTION>
ACCRUAL BASIS-6
PAYMENTS TO INSIDERS:
<S> <C>
Directors Fees:
Stanley Stegner $2,500.00
Vernon Zimmerman 2,250.00
-----------
$4,750.00
===========
Payments to affiliates:
NONE
PAYMENTS TO PROFESSIONALS:
Related to reorganization:
Winstead, Sechrest & Minick $122,266.42
Coopers & Lybrand 121,596.05
Houlihan, Lokey, Howard & Zukin 0.00
Gibson, Dunn & Crutcher 0.00
Pryor, Cashman 0.00
Southwest Securities 29,604.44
Lightfoot 0.00
-----------
Total reorganization professional fees $273,466.91
===========
</TABLE>
SECURED NOTES, LEASES AND ADEQUATE PROTECTION PAYMENTS:
All lease and insurance payments were current as of date of filing and have
continued to be paid in postpetition period in normal course of business.
<PAGE>
CASE NAME: I.C.H. CORPORATION ACCRUAL BASIS
CASE NUMBER: 395-36351-5CM-11 02/13/95
MONTH: SEPTEMBER 1996
QUESTIONNAIRE YES NO
1. HAVE ANY ASSETS BEEN SOLD OR TRANSFERRED OUTSIDE
THE NORMAL COURSE OF BUSINESS THIS REPORTING PERIOD? X
2. HAVE ANY FUNDS BEEN DISBURSED FROM ANY ACCOUNT
OTHER THAN A DEBTOR IN POSSESSION ACCOUNT? X (1)
3. ARE ANY POSTPETITION RECEIVABLES (ACCOUNTS, NOTES OR
LOANS) DUE FROM RELATED PARTIES X
4. HAVE ANY PAYMENTS BEEN MADE ON PREPETITION LIABILITIES
THIS REPORTING PERIOD? X
5. HAVE ANY POSTPETITION LOANS BEEN RECEIVED BY THE
DEBTOR FROM ANY PARTY? X
6. ARE ANY POST PETITION PAYROLL TAXES PAST DUE? X
7. ARE ANY POSTPETITION STATE OR FEDERAL INCOME TAXES
PAST DUE? X
8. ARE ANY POSTPETITION REAL ESTATE TAXES PAST DUE? X
9. ARE ANY OTHER POSTPETITION TAXES PAST DUE? X
10. ARE ANY AMOUNT SOWED TO POSTPETITION CREDITORS
DELINQUENT? X
11. HAVE ANY PREPETITION TAXES BEEN PAID DURING THE
REPORTING PERIOD? X
12. ARE ANY WAGE PAYMENTS PAST DUE? X
IF THE ANSWER TO ANY OF THE ABOVE QUESTIONS IS "YES" PROVIDE A DETAILED
EXPLANATION OF EACH ITEM. ATTACH ADDITIONAL SHEETS IF NECESSARY.
(1) Pursuant to Approved Cash Management Motion.
INSURANCE YES NO
1. ARE WORKER'S COMPENSATION, GENERAL LIABILITY AND
OTHER NECESSARY INSURANCE COVERAGES IN EFFECT? X
2. ARE ALL PREMIUM PAYMENTS PAID CURRENT X
3. PLEASE ITEMIZE POLICIES BELOW.
IF THE ANSWER TO ANY OF THE ABOVE QUESTIONS IS "NO." OR IF ANY POLICIES
HAVE BEEN CANCELED OR NOT RENEWED DURING THIS REPORTING PERIOD. PROVIDE AN
EXPLANATION BELOW. ATTACH ADDITIONAL SHEETS IF NECESSARY.
Copies of first page of policies were previously provided; coverage remains
in effect; all payments are current.
INSTALLMENT PAYMENTS
TYPE OF PAYMENT AMOUNT &
POLICY CARRIER PERIOD COVERED FREQUENCY
- ------ ------- -------------- ---------
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